CALIFORNIA AIR RESOURCES BOARD

Update on the 2018 PM2.5 SIP for the San Joaquin Valley

September 19, 2019

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Plan for the 1997, 2006, and 2012 PM2.5 Standards November 15, 2018

~ CARB

San Joaquin Valley 2018 PM2.5 SIP

Comprehensive strategy to address PM2.5 air quality

in the Valley

Adopted January 2019

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0 0 0 0

~ CARB

SIP Addresses Four PM2.5 Standards

65 µg/m3

15 µg/m3

35 µg/m3

12 µg/m3

24-Hour PM2.5 Standards

Annual PM2.5 Standards

202520242020

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1 1 1 1 1 1 1 0 0 0 0 0

~ CARB

Regular Implementation Updates for Board

First checkpoint in a multi-year process

2025Today

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1% Elements

5% Ammon ium Sulfate

~ CARB

PM2.5 Composition in the Valley

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~ CARB

Today’s Update

Regulatory Actions

Implementation Highlight:

Agriculture

Implementation Highlight:

Trucks and Buses

Implementation Highlight:

Residential Wood-Burning

Air Quality & Emissions

Trends

Emission Reduction

Credit Program Review

Next Steps

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~ CARB

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Regulatory Actions

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~ CARB

Measures in the PM2.5 SIP

Agency Adopted Scheduled for Board Consideration

CARB May 2018: Lower Opacity Limits for Heavy-Duty Vehicles

June 2018: Amended Warranty Requirements for Heavy-Duty Vehicles

December 2018: Innovative Clean Transit June 2019: Zero-Emission Airport Shuttle Buses

2020 • Low-NOx Engine Standard • Heavy-Duty Vehicle Inspection and Maintenance

Program 2021 • Advanced Clean Cars 2 • Low-Emission Diesel Fuel Requirement

District June 2019: Residential Wood-Burning Emission Reduction Strategy

2020 • Flares • Internal Combustion Engines • Boilers, Steam Generators, and Process Heaters • Commercial Underfired Charbroilers 2021 • Glass Melting Furnaces • Solid Fuel-Fired Boilers, Steam Generators, and

Process Heaters

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~ CARB

Role of Regulations and Incentives

Incentive-based measures are critical for the last increment of emissions reductions

Regulations form the base of the PM2.5 SIP: 90 percent of emissions reductions from regulations

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~ CARB

Implementation Highlight:

Agriculture

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~ CARB

Agricultural Equipment Replacement

• Over 4,000 pieces of agricultural equipment replaced since January 2015

• District has contracted all first-year FARMER funding

• More projects in the pipeline

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~ CARB

Agricultural Equipment Incentive Measure

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• SIP credit for agricultural equipment emissions reductions

• Board consideration: November 2019

• Halfway to SIP target for agricultural equipment

Over 5 tpd NOx Reductions from

completed projects

About 5 tpd NOx Need approximately

$150 million/year from 2020 through 2023

,

~ CARB

Incentive Funds for Agricultural Equipment

Funding sources and programs specific to agriculture include:

NRCS (USDA):$37.5 million nationwide

annually for FYs 2019-2023

FARMER: $65 million statewide

for FY 2019-2020

U.S. EPA grants:$15 million for the Valley

for FY 2019-2020

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~ CARB

Other Programs

Three other District ag programs successful and oversubscribed • Funded 1,550 all-electric

ag UTVs, demand for 500 more • $2 million for alternatives to

open agricultural burning • $2 million for low-dust nut

harvesting

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~ CARB

Implementation Highlight:

Trucks and Buses

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r

~ CARB

Truck and Bus Incentive Measure

• SIP credit for surplus emissions reductions from trucks and buses

• Board consideration in 2021 • Refining estimates of

incentive funding needed through 2024

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~ CARB

Incentive Funds for Trucks and Buses

Funding sources and programs available for trucks and buses include:

Low Carbon Transportation:$455 million statewide

for FY 2018-2019

Carl Moyer:$78 million statewide

for FY 2018-2019

AB 617: $245 million statewide

for FY 2018-2019 Prop 1B:

Already awarded

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~ CARB

Implementation Highlight:

Residential Wood-Burning

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• .

I

- - - - - - - -

~ CARB

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Curtailment Levels

• District strengthened residential burning rule

• Lower curtailment levels in “hot spot areas” of Kern, Fresno, and Madera Counties take effect this winter

• Includes contingency element

PM2.5 Level µg/m3

65

35

20

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Valley-wide Hot Spot Areas

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~ CARB

Wood Stove Replacement

• District replaced 1,300 wood-burning devices during winter 2018-2019 with $2.2 million

• Over 16,000 total replacements in the Valley

• Almost 80 percent are wood-to-natural gas

• Reduces near source exposure

Replacement Device Fuel Type 2008 - 2017

Gas Wood Pellet

5%

16%

79%

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~ CARB

Air Quality & Emissions

Trends

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~ CARB

24-Hour Design Value Trends

All sites meet 65 µg/m3

Reductions needed to attain

35 µg/m3 by 2024

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60 58 56

0

10

20

30

40

50

60

70

80

90

100

110

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

µg/m

3

65 µg/m3 Standard 35 µg/m3 Standard Bakersfield Visalia Fresno Stockton

Drought impacts

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~ CARB

Annual Design Value Trends

Six sites in south Valley above

15 µg/m3 in 2018; challenge to attain

by 2020

Reductions needed to attain

12 µg/m3 by 2025

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17.8

14.6 16.1

13.8

0

5

10

15

20

25

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

µg/m

3

15 µg/m3 Standard 12 µg/m3 Standard Bakersfield Visalia Fresno Stockton

Drought impacts

~ CARB

NOx Emissions Trends 700

600

500

400 Ongoing steep mobile source

300 NOx reductions

200

100

0

Tons

per

day

Area Sources

Stationary Sources

Mobile Sources

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

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~ CARB

PM2.5 Emissions Trends

100

80

Need to continue 60

direct PM2.5 reductions 40

20

0

Tons

per

day

Area Sources

Stationary Sources

Mobile Sources

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

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~ CARB

Emission Reduction Credit Program Review

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~ CARB

Goals

• Review the ERC system and evaluate whether the program is meeting legal requirements

• Determine if there are ways the system might be improved

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~ CARB

Elements of Review

• Explanation of the ERC program • Evaluation of ERC banking actions • Evaluation of the Federal Offset Equivalency Demonstration • Analysis of the use of offsets in permitting

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~ CARB

Status and Next Steps

• Held two workshops • Released progress report • Requesting and analyzing information from the District • Developing findings and recommendations • Public workshop in early spring 2020 • Board meeting in spring 2020

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~ CARB

Next Steps

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~ CARB

Three-Part Strategy

1. Keep on track with ambitious rulemaking calendar 2. Continue pushing for incentive dollars 3. Continue looking for additional opportunities for

emissions reductions

2025Today

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~ CARB

Implementation Working Group

• Formed working group to provide venue for stakeholders to collaboratively facilitate SIP implementation

• CARB and District will discuss opportunities for additional measures

• Held first meeting August 2019

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~ CARB

Next Update

• Regulatory actions • Incentive funds • Grant programs • Research findings • Additional emission

reduction opportunities

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